GOLD Elliott Wave Count for June 4, 2012 2012-06-04

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GOLD Elliott Wave
Last week Gold was trading in upward move developing 3 wave of the bigger (3) wave. During the Fridays Asian and European session we could observe descending movement toward the 1544.90 level.We can consider this move as end of the 2 wave (coloured green). Therefore during the New York session Gold started in a bullish mood and reached new high at 1628.60 level. We can consider this move as end of the 3 wave (coloured green). Today during the early Asian session Gold we could observe the downward movement and price trading under 1618.00 level. Presently we can observe the end of the 4 wave (coloured green); at the moment we expect price to be above 1650.00 level. In accordance with our wave rules and taking into account that the wave 3 retraces 161.8% of the wave 1, we can define the potential targets with Fibonacci extensions (1526.30-1598.00-1532.40) with Take Profit at 1648.21 (161.8% of wave 1). Support level at 1607.30 can be used as Stop Loss point.
Support and Resistance Levels
(S3) 1481.2 (S2) 1513.4 (S1) 1567.7 (PP) 1599.9 (R1) 1654.2 (R2) 1686.4 (R3) 1740.7
Trading Forecast
Proceeding from Elliott Wave Rules this week the trend is expected to begin the upward movement. That is why Long positions at level 1627.50 with Stop Loss at 1607.30 and Take Profit at 1648.21 are recommended

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